MD Computer Services Tax Repealed; GA Tax Plans Die

April 08, 2008

In the last moments of Maryland's legislative session, the problematic computer services tax was repealed. It had been scheduled to take effect on July 1. In its place, however, the Legislature is "temporarily" imposing a new top individual income tax rate of 6.25 percent on the 6,000 Marylanders who had incomes over $1 million, for 2008 to 2010. See here for more on the computer services tax.

The Baltimore Sun notes that the computer services industry had been singled out for the tax because it had no lobbyists in Annapolis. They do now.

The Georgia tax reform plans, which we discussed here, all died on the Legislature's adjournment on April 4. The various plans included property tax eliminations, elimination of the car tax, and income tax reductions.

(Hat tip: COST Legislative Alert)

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